Shareholders B&C Group and Suzano SA enter into a long-term partnership for the majority stake in Lenzing AG. In concrete terms, the Brazilian pulp producer is acquiring 15 percent of the shares of Lenzing from B&C. Together the two own 52.25 percent of Lenzing AG.
The B&C Group and Suzano SA today announced in a press release that they have entered into a long-term partnership for B&C’s majority stake in Lenzing AG, a world leading supplier of cellulose fibers for the textile and non-woven industries from Upper Austria.
230 million euros
Under this agreement, Suzano will acquire a 15 percent stake in Lenzing from B&C. B&C and Suzano form a long-term shareholder syndicate that will own 52.25 percent of Lenzing after the transaction is completed. B&C will then own a 37.25 percent share in Lenzing and exercise control over this syndicate. The purchase price is EUR 39.70 per share, which corresponds to a total price of EUR 230 million. Suzano will have the option to increase its 15 percent stake in Lenzing and acquire a further 15 percent of B&C by the end of 2028, with B&C remaining a core shareholder of Lenzing as part of the long-term partnership.
No direct competition
The listed Suzano SA is the world’s largest pulp producer, headquartered in Brazil, with an annual turnover of more than seven billion euros. The company, which is celebrating its 100th anniversary this year, can look back on a long history; experiences that will complement Lenzing AG’s existing business model. Suzano is not a direct competitor of the Upper Austrian cellulose fiber manufacturer and has extensive expertise in the pulp sector, an important raw material for Lenzing AG.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
